A local manufacturer builds lawn mowers for sale nationally. This year the compa
ID: 408399 • Letter: A
Question
A local manufacturer builds lawn mowers for sale nationally. This year the company has put a new production process in place. Production has increased from 60 lawnmowers per day last year to 90 lawnmowers per day this year. The number of defective lawnmowers produced has dropped from 10 per day last year to 1 per day this year.
a. what was the number of quality lawn mowers last year (mowers/day)?
b. what was the number of quality lawn mowers this year (mowers/day)?
c. what was the rate of productivity improvement?
Explanation / Answer
Answer of question (a): what was the number of quality lawn mowers last year (mowers/day)?
Last year total lawn mowers production per day = 60 mowers/day
Last year defective lawn mowers production = 10 mowers/day
Quality lawn mowers production per day = Total production per day – Defective production per day
= 60-10
= 50 mowers per day
Assuming plant works for 365 days, so yearly production of quality lawn mowers for last year
= 50*365 = 18250 mowers
Answer of question (b): what was the number of quality lawn mowers this year (mowers/day)?
This year total lawn mowers production per day = 90 mowers/day
This year defective lawn mowers production = 1 mower/day
Quality lawn mowers production per day = Total production per day – Defective production per day
= 90-1
= 89 mowers per day
Assuming plant works for 365 days, so yearly production of quality lawn mowers for this year
= 89*365 = 32485 mowers
Answer of question (c): what was the rate of productivity improvement?
Productivity Improvement (Total Production)
= (Production rate this year-Production rate last year)/( Production rate last year)
= (90-60)/60 = 0.5 = 50%
Productivity Improvement (Quality Production)
= (Quality Production rate this year-Quality Production rate last year)/(Quality Production rate last year)
= (89-50)/50 = 0.78 = 78%
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